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Daniel S. Loeb

@DanielSLoeb1

We have a better understanding of @espn's potential as a standalone business and another vertical for $DIS to reach a global audience to generate ad and subscriber revenues. We look forward to seeing Mr. Pitaro execute on the growth
 
https://www.nytimes.com/2022/09/11/business/media/bob-chapek-disney-expo.html

At Corporate Pep Rally, Disney C.E.O. Pitches Warmer, Fuzzier Side​

At this weekend’s D23 Expo in California, Bob Chapek worked to rebrand himself after a difficult start to his tenure.

By Brooks Barnes
Brooks Barnes, who has covered the entertainment business since 2004, reported this article in Anaheim, Calif.
Sept. 11, 2022Updated 6:22 p.m. ET

Every few years, the Walt Disney Company stages a colossal pep rally for its most-ardent fans. The three-day event is called D23 Expo, and roughly 140,000 people pay anywhere from $79 to $899 for the chance to see Disney stars, preview upcoming movies and learn about new theme park rides.

The message, as is often the case with Disney, is not subtle: Keep buying our stuff!

At the latest D23 Expo, which took place over the weekend near Disneyland in Southern California, there was, however, another item on the company’s agenda. It was an opportunity for Bob Chapek, Disney’s intermittently embattled chief executive, to try to close a difficult chapter — a political imbroglio in Florida, executive firings, theme park fans in open revolt — and focus attention on Disney’s plans for the future. It was also an opportunity to work on a brand reboot for himself.

Mr. Chapek was sporting a new beard. The frumpy suits? Gone. He was making an obvious attempt to be more social, which he has said does not come naturally. He shook hundreds of hands from Thursday night to Sunday afternoon, heaped praise on stars in behind-the-scenes schmooze sessions and gave interviews to news outlets and fan sites. (Disney said it gave credentials to 1,000 reporters and online writers.) With his son by his side, Mr. Chapek went on a corn dog run into Disneyland, stopping to pose for photos when recognized by startled guests.

“I’m trying to show a little more of who I am,” he said on Friday night in the lobby of Disney’s Grand Californian Hotel & Spa. “I haven’t had a lot of chances.”

This year’s expo, the first since Mr. Chapek took over the company in 2020, kicked off on Friday morning with a two-hour opening ceremony in which Disney started its 100th anniversary celebration and recognized people who had made “extraordinary contributions” to the company. In the moments before the ceremony started, Mr. Chapek chatted backstage with seven stars from Disney’s Broadway musicals. They were in costume and there to kick off the show.

“You’re going to dance with us, right?” Jelani Remy, bedazzled as Simba from “The Lion King,” jokingly asked Mr. Chapek.

“Can you teach me some moves?” Mr. Chapek shot back with a smile. “I’ve got two left feet.” Everyone laughed.

A few minutes later, the Broadway performers were onstage before 7,000 seated D23 Expo attendees. The stars opened with “Friend Like Me” from “Aladdin” and ended with a thundering rendition of “Let It Go” from “Frozen.”

“We’re never going back!” they sang. “The past is in the past!”

As confetti fell from the rafters, Mr. Chapek strode onto the stage, waving like a party boss at a political convention. The crowd turned noticeably chilly, with attendees offering polite applause and a few boos.

If Mr. Chapek noticed, it was not discernible. He began a speech that incorporated the usual Disney chestnuts. (“It all started with a mouse.”) Then his presentation became unusually personal. He spoke about his humble childhood in an industrial part of Indiana and how his parents took him on annual visits to Walt Disney World.

“Honestly, those visits changed my life,” Mr. Chapek said, as the awkward feeling in the room began to dissipate. “It made me realize that there was a great big world out there beyond the smoke stacks of my hometown. Really, that’s what Disney is all about. It’s that spark that ignites something special inside of you.”

Then he unveiled plans for a new Avengers ride. One of the guys who had booed jumped to his feet and cheered with outstretched arms.

Mr. Chapek, 62, was named C.E.O. in February 2020, taking over from the exceedingly popular Robert A. Iger. The handoff did not go smoothly. The coronavirus pandemic forced Mr. Chapek to close most of the company. This year, Mr. Chapek contended with one crisis after another, some of his own making.

In March, Disney became entangled in a heated dispute with Gov. Ron DeSantis of Florida, a Republican, over legislation meant to prohibit classroom discussion of sexual orientation and gender identity through the third grade. Mr. Chapek tried not to take a side at first, at least publicly, which prompted an employee revolt. Mr. Chapek then denounced the bill, setting off a political firestorm, with right-wing figures railing against “woke Disney.”

In June, Mr. Chapek abruptly fired Disney’s top television executive, to howls of disapproval from Hollywood. In August, the activist investor Dan Loeb pushed Mr. Chapek to consider a range of changes, including shaking up the board and spinning off ESPN. (On Sunday, Mr. Loeb backtracked on a spinoff, saying on Twitter that he had learned more about Disney’s “growth and innovation plans” for ESPN.)

All the while, some of Disney’s most dedicated theme park customers have been growing indignant over price increases they see as nickel and diming. Last month, Disney told investors that theme park profits would have been even higher if not for an “unfavorable attendance mix” at Disneyland, which annual pass holders took as an affront. T-shirts, mugs and stickers began selling online bearing the word “Unfavorables” in Disneyland’s signature calligraphy.


Hence the effort to use D23 Expo to polish Mr. Chapek’s terrible, horrible, no-good, very-bad image.

Mr. Chapek’s attempt at a brand overhaul can be attributed, partly, to Kristina Schake, who joined Disney as chief communications officer in April. Ms. Schake, who previously helped recast public images for political figures, including Michelle Obama and Hillary Clinton, was attached to Mr. Chapek’s hip as he traversed the more than one million square feet of the D23 Expo. (She brought eight pairs of shoes.)

Ms. Schake convinced him to keep his beard after noticing that he had grown one on vacation. Detractors in Hollywood have snidely suggested that the outcropping makes Mr. Chapek resemble Thanos, the Marvel supervillain. But GQ magazine has given its blessing, with a headline on Friday saying that Mr. Chapek was “rocking the rare corporate power beard.”

D23 is a reference to 1923, the year Walt Disney arrived in Hollywood. The event is both awe-inspiring and terrifying to witness because it showcases how deeply the company’s products, mythmaking and characters are woven into the cultural fabric. One area is dedicated to Disney’s television operation, which has 300 television shows in production. Disney has a new residential housing business. It owns National Geographic. With resorts in Europe, China, Florida and California, the sun never sets on a Disney theme park.

Over the weekend, one attendee signaled his love for “Beauty and the Beast” by turning up as the candlestick character Lumiere. A woman outfitted as the Queen of Hearts from “Alice in Wonderland” walked the expo aisles while shouting, “off with her head.” Two attendees began to cry on Saturday when Alan Bergman, the chairman of Disney Studios Content, started a three-hour preview of coming Marvel and Lucasfilm projects.

Those $899 ticket packages? They sold out in seven minutes. Some people started lining up at 3 a.m. on Friday for the chance to buy D23 Expo merchandise. In 2019, the last time the expo was held, three retail locations at the convention rang up more than $1 million in sales apiece over three days. (Don’t call this a cult; a Disney publicist may appear out of nowhere, like the “Hercules” villain Hades, to scold you.)

In private conversations, a few Disney executives fumed that Mr. Chapek did not go table to table at a luncheon for Disney Legend award recipients, as the effortlessly charming Mr. Iger usually did. Mr. Chapek was also absent at a private Friday cocktail reception attended by some of Disney’s top creative executives.

But Mr. Chapek’s charm offensive was on display elsewhere. Backstage on Friday, he mingled with stars like Amy Adams, Ariana DeBose, Jude Law and Cynthia Erivo. “We’re so lucky to have you as part of the Disney family,” Mr. Chapek told Jamie Lee Curtis, who will appear in “Haunted Mansion,” a coming Disney film.

Earlier, Mr. Chapek had chatted with Jennifer Lee, the Oscar-winning “Frozen” director and chief creative officer of Walt Disney Animation Studios. Ms. Lee is writing the screenplay for “Wish,” an original animated musical. “What I’ve read already is just fantastic,” he told her. She replied: “I’m working this weekend on the script. You ain’t seen nothin’ yet.”

Heading toward his dressing room, an R.V. parked backstage (with a refrigerator stocked with water, Diet Coke and Dr Pepper), Mr. Chapek encountered a D23 attendee who was persistent in trying to grab the C.E.O.’s attention. He was in his 20s and looked cranky.

“Mr. Chapek — Bob! — please talk to me,” the man shouted.
Uh-oh.
A Disney security guard tried to hustle Mr. Chapek away, but Mr. Chapek stopped and turned around.
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“I just wanted you to know, to shake your hand, and say thank you — thank you for keeping Disney going,” the man said haltingly.

“I’m glad you’re here,” Mr. Chapek said. “I want you to know that we appreciate you.”

Satisfied, the attendee vanished into the throng.
 
Daniel S. Loeb
@DanielSLoeb1

We have a better understanding of @espn's potential as a standalone business and another vertical for $DIS to reach a global audience to generate ad and subscriber revenues. We look forward to seeing Mr. Pitaro execute on the growth
Clearly didn't understand that live sports is a key pillar in DIS paid streaming plans. Kind of embarrassing from Loeb, IMO.
 
CPI prints higher than expected and a market blood bath ensues. Another rate hike or 3 are coming.

Overall CPI is down 2months in a row but a long way from 2%. This happening when oil/gas is way down from its highs in the late spring.
 

https://finance.yahoo.com/news/even-disney-looming-price-hike-214958327.html

Even With Disney+’s Looming Price Hike, Streamer Is ‘Way Underpriced,’ Says CEO Bob Chapek​


Todd Spangler
Wed, September 14, 2022 at 4:49 PM

Disney+ was first launched three years ago with the “pretty absurd” low price point of $6.99 per month, CEO Bob Chapek admitted. Now the company is gearing up to raise prices again on the flagship streamer — but Disney+ still offers a better price/value equation than competitors, he said.

“I think we’re way underpriced relative to the value we provide,” Chapek said, noting that the core Disney+ service without ads will continue to be priced below several competitors. The CEO was speaking Wednesday at Goldman Sachs’ Communacopia + Technology Conference 2022.

Amid rising inflation, Disney has announced price increases coming in the fourth quarter of 2022 for Disney+ and Hulu, as well as a December launch for the ad-supported Disney+ tier in the U.S. Disney+ Basic, the name of the plan with ads, will launch Dec. 8 in the U.S. for $7.99/month. That’s the price of the current ad-free version of Disney+, which at that time will bump up to $10.99/month, a 38% increase, and will be known as Disney+ Premium.

Even once the cost of Disney+ without ads goes up to $10.99 per month, the media conglomerate still has a lot of headroom in terms of raising prices, Chapek asserted. “[W]e believe our churn implications of taking up the price… will be negligible,” he said.

The new Disney+ ad tier “will really let us cater to diverse consumer needs,” Chapek said. Disney+ Basic will be “margin-neutral at worst” compared with the ad-free version, he said, so the company is “indifferent” as to which plan consumers choose. “This just puts wind in our sales to achieve the [projected Disney+ subscriber] numbers we stated,” Chapek said.

As of July 2, Disney counted more than 221 million subscriptions across Disney+, ESPN+ and Hulu. But on average, Disney generates far lower revenue per streaming subscription than rivals like Netflix. Improving the operating profitability of its streaming portfolio is a priority, said Chapek.

Disney is looking toward a future “hard bundle” that will merge Disney+, ESPN+ and Hulu into a single integrated service. To do that, Chapek said, Disney will need full ownership of Hulu; Comcast retains a 33% stake in the streamer. Comcast has the right to sell its Hulu ownership stake to Disney as early as January 2024. As of July 2, 2022, Disney recorded Comcast’s interest in Hulu as being worth $8.6 billion but Comcast could get potentially billions more than that. “We’d love to get to that end point earlier,” but closing a deal to buy out 100% of Hulu is contingent on reaching satisfactory terms with Comcast, Chapek said.

Disney is coming off a strong earnings report for the June 2022 quarter, with a rebound in theme park revenue and a net gain of 14.4 million Disney+ subscribers in the period, to reach 152.1 million as of July 2. The company lowered its global subscriber target for Disney+ to 215 million-245 million global subscribers by the end of fiscal 2024 (down from 230 million-260 million previously), citing its loss of Indian Premiere League cricket streaming rights as hampering growth of Disney+ Hotstar in India. Subsequently, Disney Star scored Indian TV and digital rights to both men’s and women’s global events conducted by the International Cricket Council (ICC) from 2024-27. “We’re still pretty bullish on India,” Chapek said.

Disney has recharged its content pipeline after COVID production slowdowns. At the D23 fan conference over the weekend, Disney unveiled a slew of first-looks at upcoming films and shows, including for “The Little Mermaid” starring Halle Bailey, “Avatar: The Way of Water,” “Indiana Jones 5,” and the “Percy Jackson and the Olympians” and Marvel’s “Ironheart” series for Disney+.
“We have an embarrassment of riches in terms of the plethora of content we have coming from our creative engines,” Chapek boasted. Movie and TV productions are still observing stringent COVID-safety protocols, which add costs, but Disney is evaluating how to cut production expenses, according to Chapek.

Chapek touched on Disney’s early plans to roll out a membership program, which will bring together customer data from Disney+ with businesses across the company, like its theme parks. “We can now customize and personalize an experience well beyond we’ve been able to do,” he said. Disney+ “will become a platform for engagement” with all the company’s products and services, “not just a movie service.”

ESPN will continue to remain distributed through pay-TV providers for the foreseeable future, Chapek said. As he’s said before, though, “at some point we see the writing on the wall” in terms of moving to split it off as a direct-to-consumer service with the full lineup of sports programming. “We’re not going to do anything rash… we’ll follow the consumer,” he said.

Last month, activist investor Daniel Loeb of hedge fund Third Point urged Disney to spin off ESPN and accelerate its acquisition of Comcast’s 33% stake in Hulu. But on Sunday, Loeb backed down from his call for Disney to shed ESPN, writing in a tweet, “We have a better understanding of @espn’s potential as a standalone business and another vertical for $DIS to reach a global audience to generate ad and subscriber revenues.” Third Point owned about a $1 billion stake in Disney as of mid-August.

Chapek told Variety in an interview Saturday at D23 that when “the word was out on the street that will maybe Disney will spin off ESPN, we had no less than 100 inquiries of people that wanted to buy it. What does that tell you? That says we’ve got something really good.”

Chapek took over as CEO of Disney in February 2020, succeeding Bob Iger. Disney’s board earlier this summer reupped Chapek’s contract through July 2025.
 
https://www.ft.com/content/38288ab2...traffic/partner/feed_headline/us_yahoo/auddev

Disney’s bet on ESPN: Can the Mouse House still cash in on sports? Truce with activist investor Dan Loeb over sports network has left media group’s chief weighing up his options
9/15/22
Christopher Grimes in Los Angeles and Sara Germano in New York

In a letter addressed to Disney chief executive Bob Chapek in mid-August, activist hedge fund manager Dan Loeb said a “strong case can be made” for the ESPN sports network to be spun off from the company. Loeb, known for waging bruising battles against the likes of Sony and Sotheby’s, outlined his argument along with a host of other recommendations to improve performance at Disney, including a board “refresh”, taking full control of the Hulu streaming network and cost-cutting measures.

Less than a month later, however, the aggressive manager of hedge fund Third Point reversed his position on spinning off Disney’s sports network after Chapek told the Financial Times that he had a plan to “restore ESPN to its growth trajectory”. In a tweet, Loeb said he had come to a “better understanding of ESPN’s potential as a standalone business”. Loeb’s message came as a relief to Disney and ESPN employees, but the episode has shone a light on the deeper problems facing the sports network — and left investors wondering about the details of Chapek’s plan to fix them.

“[Chapek] has got to explain to Wall Street how ESPN can be a good business,” said Rich Greenfield, an analyst at LightShed Partners. “Cable networks are just a challenged business. The problem is less and less people are subscribing to [traditional] TV, and the sports costs keep coming up.” Neither Disney nor Third Point would comment on the matter, but both emphasised there has been cordial dialogue between Loeb and Chapek.

Once Disney’s profit engine thanks to its commanding share of cable subscribers, a steady stream of affiliate fees and advertising revenue, ESPN has suffered in the streaming age. Its subscriber base has fallen from a peak of 99.4mn in 2011 to a projected 73.6mn by the end of this year — a drop of more than 25 per cent — according to estimates by S&P Global Market Intelligence. Worse, its famous cash-spinning ability is expected to shrink dramatically over the next three years, said Scott Robson, senior research analyst at S&P Global. He estimates cash flow will drop from about $2.5bn in 2021 to $1bn in 2025.

“Everybody knows that the . . . cable bundle is deteriorating over time,” Chapek told a Goldman Sachs conference this week. “It’s still a significant business, very appreciative from a cash flow standpoint for us. But at some point, we see the writing on the wall where this is going, and we’re preparing for that.” Besides cord-cutting, ESPN is facing escalating costs of rights to broadcast sports — driven in part by streaming services run by deep-pocketed Apple and Amazon. Disney expects to pay $10.3bn in contractual commitments for sports programming this year, and an additional $60bn in future commitments.

“These sports rights are getting more and more expensive,” Robson said. “It’s really going to start negatively impacting the bottom line at ESPN.” But Chapek told the FT he believes ESPN can return to its growth. Crucial to this will be more aggressive marketing of ESPN Plus, its sports streaming network, as part of a bundle with its other streaming platforms, Disney Plus and Hulu. ESPN Plus has about 22.8mn subscribers, or nearly 10 per cent of Disney’s 221mn streaming subscribers. Chapek noted the enduring power of sports to attract large audiences, even in an age of audience fragmentation. He also believes ESPN can become a force in the rapidly expanding US sports-betting industry — a step that earlier generations of Disney leaders would have thought too racy for the family-friendly company.

Disney acquired a 5 per cent stake in DraftKings, a fantasy sports and betting group, in 2019 when it bought 21st Century Fox. It also has a deal with Caesars Entertainment that gives it the exclusive right to provide sports betting odds to ESPN. Chapek has even floated the idea of launching an ESPN-branded sports betting app, though the company has not started work on this, insiders say. In his letter, Loeb said it would be easier for ESPN to pursue sports betting outside of Disney. He also said a spin-off would help reduce Disney’s debt, which stood at $46bn at the end of the most recent quarter.

But Loeb’s proposal to spin off ESPN divided Wall Street analysts. Greenfield at LightShed Partners supports the idea, but analysts at MoffettNathanson wrote last month that it would be “financially dangerous to divest ESPN”. Not only are Disney’s revenues reliant on ESPN’s cash, they wrote, but investors aren’t keen on a leveraged asset whose primary business is cable television in the era of cord cutting. Moreover, recent sports rights deals show the ever-appreciating value of live events. Disney rival Paramount last month more than doubled the price it will pay Uefa for US rights to broadcast the Champions League, now worth $1.5bn over six years.

Apple has reached multibillion-dollar agreements to air Major League Soccer and Major League Baseball, while Amazon last year joined the most expensive package of live sports rights ever sold: the National Football League’s $110bn broadcast terms over 11 years. Inside ESPN, executives argue that the network is better served with the marketing might of the rest of the Disney company, which includes the ABC broadcast network. They point to the seven-year deal ESPN signed last year with the National Hockey League allowing it to show games on the ESPN cable network, ESPN Plus, the Hulu streaming service and ABC. A similar 12-year plan was signed recently for the rights to the Wimbledon tennis championships.

Even with the headwinds facing its core cable television business, Chapek said Disney had been “deluged” with interest from companies seeking to buy ESPN or join in a spin-off after reports that the company was weighing a sale earlier this year. “If everyone wants to come in and buy it . . . I think that says something about its potential,” Chapek said. He added: “When the rest of the world knows what our plans are, they will be as confident about that proposition as we are.” Loeb appears satisfied to wait for Chapek’s plan — at least for now.
 
https://www.ft.com/content/38288ab2...traffic/partner/feed_headline/us_yahoo/auddev

Disney’s bet on ESPN: Can the Mouse House still cash in on sports? Truce with activist investor Dan Loeb over sports network has left media group’s chief weighing up his options
Disney’s Bob Chapek believes ESPN can return to growth, with more aggressive marketing of its sports network being a crucial part in doing so
Christopher Grimes in Los Angeles and Sara Germano in New York
9/15/22



In a letter addressed to Disney chief executive Bob Chapek in mid-August, activist hedge fund manager Dan Loeb said a “strong case can be made” for the ESPN sports network to be spun off from the company. Loeb, known for waging bruising battles against the likes of Sony and Sotheby’s, outlined his argument along with a host of other recommendations to improve performance at Disney, including a board “refresh”, taking full control of the Hulu streaming network and cost-cutting measures.

Less than a month later, however, the aggressive manager of hedge fund Third Point reversed his position on spinning off Disney’s sports network after Chapek told the Financial Times that he had a plan to “restore ESPN to its growth trajectory”. In a tweet, Loeb said he had come to a “better understanding of ESPN’s potential as a standalone business”.

Loeb’s message came as a relief to Disney and ESPN employees, but the episode has shone a light on the deeper problems facing the sports network — and left investors wondering about the details of Chapek’s plan to fix them.

“[Chapek] has got to explain to Wall Street how ESPN can be a good business,” said Rich Greenfield, an analyst at LightShed Partners. “Cable networks are just a challenged business. The problem is less and less people are subscribing to [traditional] TV, and the sports costs keep coming up.”

Neither Disney nor Third Point would comment on the matter, but both emphasised there has been cordial dialogue between Loeb and Chapek.

Once Disney’s profit engine thanks to its commanding share of cable subscribers, a steady stream of affiliate fees and advertising revenue, ESPN has suffered in the streaming age. Its subscriber base has fallen from a peak of 99.4mn in 2011 to a projected 73.6mn by the end of this year — a drop of more than 25 per cent — according to estimates by S&P Global Market Intelligence. Worse, its famous cash-spinning ability is expected to shrink dramatically over the next three years, said Scott Robson, senior research analyst at S&P Global. He estimates cash flow will drop from about $2.5bn in 2021 to $1bn in 2025.

“Everybody knows that the . . . cable bundle is deteriorating over time,” Chapek told a Goldman Sachs conference this week. “It’s still a significant business, very appreciative from a cash flow standpoint for us. But at some point, we see the writing on the wall where this is going, and we’re preparing for that.” Besides cord-cutting, ESPN is facing escalating costs of rights to broadcast sports — driven in part by streaming services run by deep-pocketed Apple and Amazon.

Disney expects to pay $10.3bn in contractual commitments for sports programming this year, and an additional $60bn in future commitments. “These sports rights are getting more and more expensive,” Robson said. “It’s really going to start negatively impacting the bottom line at ESPN.

”But Chapek told the FT he believes ESPN can return to its growth. Crucial to this will be more aggressive marketing of ESPN Plus, its sports streaming network, as part of a bundle with its other streaming platforms, Disney Plus and Hulu. ESPN Plus has about 22.8mn subscribers, or nearly 10 per cent of Disney’s 221mn streaming subscribers.

Chapek noted the enduring power of sports to attract large audiences, even in an age of audience fragmentation. He also believes ESPN can become a force in the rapidly expanding US sports-betting industry — a step that earlier generations of Disney leaders would have thought too racy for the family-friendly company. Disney acquired a 5 per cent stake in DraftKings, a fantasy sports and betting group, in 2019 when it bought 21st Century Fox.

It also has a deal with Caesars Entertainment that gives it the exclusive right to provide sports betting odds to ESPN. Chapek has even floated the idea of launching an ESPN-branded sports betting app, though the company has not started work on this, insiders say. In his letter, Loeb said it would be easier for ESPN to pursue sports betting outside of Disney.

He also said a spin-off would help reduce Disney’s debt, which stood at $46bn at the end of the most recent quarter. But Loeb’s proposal to spin off ESPN divided Wall Street analysts. Greenfield at LightShed Partners supports the idea, but analysts at MoffettNathanson wrote last month that it would be “financially dangerous to divest ESPN”.

Not only are Disney’s revenues reliant on ESPN’s cash, they wrote, but investors aren’t keen on a leveraged asset whose primary business is cable television in the era of cord cutting. Moreover, recent sports rights deals show the ever-appreciating value of live events.

Disney rival Paramount last month more than doubled the price it will pay Uefa for US rights to broadcast the Champions League, now worth $1.5bn over six years. Apple has reached multibillion-dollar agreements to air Major League Soccer and Major League Baseball, while Amazon last year joined the most expensive package of live sports rights ever sold: the National Football League’s $110bn broadcast terms over 11 years.

Inside ESPN, executives argue that the network is better served with the marketing might of the rest of the Disney company, which includes the ABC broadcast network. They point to the seven-year deal ESPN signed last year with the National Hockey League allowing it to show games on the ESPN ce network, ESPN Plus, the Hulu streaming service and ABC.

A similar 12-year plan was signed recently for the rights to the Wimbledon tennis championships. Even with the headwinds facing its core cable television business, Chapek said Disney had been “deluged” with interest from companies seeking to buy ESPN or join in a spin-off after reports that the company was weighing a sale earlier this year.

“If everyone wants to come in and buy it . . . I think that says something about its potential,” Chapek said. He added: “When the rest of the world knows what our plans are, they will be as confident about that proposition as we are.” Loeb appears satisfied to wait for Chapek’s plan — at least for now.
 
This is kind of off topic, but I thought it distilled my gripe that DIS is skimping on park maintenance. That, long-term, is a very real threat to OUR assets, which must be maintained to hold value. The NY Post is a major American newspaper and widely read.

https://nypost.com/2022/09/14/disney-world-guests-gripe-of-broken-rides-filth-as-prices-soar/
‘Torture’: Disney World guests gripe of broken-down rides, filth as prices soar

By Alexandra Steigrad
September 14, 2022 1:59pm

Disney World guests gripe that the Orlando, Fla., resort has become plagued with broken-down rides and dirty facilities — even as the theme park continues to hike prices under CEO Bob Chapek.

Visitors are increasingly taking to social media to bash the Happiest Place on Earth, complaining that Chapek — who replaced the Mouse House’s longtime boss Bob Iger in 2020 — is only concerned with cutting costs and raising prices instead of reinvesting in the resort.

“Some rides are just a straight mess,” wrote one Reddit user in a chat room dubbed “Disney lacking.”

Last month, riders got stranded for over an hour on the Magic Kingdom’s “It’s a Small World” ride, with one customer calling the experience “torture” on social media. In July, video footage from Disney World revealed guests climbing out of a car on Splash Mountain because it started sinking. It was the park’s third sinking incident in two years.

Rides are also down a lot. It’s been lacking since they reopened and I don’t expect it to change anytime soon,” the user continued. “They know people will keep coming regardless.”

Guests called out specific attractions, including “Under the Sea: Journey of the Little Mermaid at Magic Kingdom,” as a sign of the state of the park, according to Disney blog Inside the Magic, which earlier reported on the complaints.

“Half of the in-queue hermit crab effects simply don’t work,” one customer complained. “In almost every scene something is broken — the moray eel’s eyes for example — one eye works, the other broken.”

“You could do this for every ride, something is broken, unkempt, or not functional,” the customer added.

Another user said they were “shocked at how many rides were all down at the exact same time” when they last visited Disney World’s Epcot.

Customers complained that Disney World’s “Little Mermaid” ride is rundown.AFP via Getty Images

One user complained of poor maintenance and “cast members” who weren’t in character at Disney World’s ultra-expensive new Star Wars: Galactic Starcruiser hotel, which costs around $6,000 for two
nights, with lodging, meals and entertainment included.

“Last year when I was here, I was blown away with CM’s [cast members], especially at Galaxy’s Edge, with maintaining the illusion. This year, a lot of the CM’s were not in character at all,” the user said. “The resorts have all had some small issues like the main door not closing when we leave, to A/C not working properly.”

Disney World’s unkempt appearance was also a hot topic, with users noting grass isn’t freshly cut, trash litters the grounds and buildings have “chipped paint.”

Riders got stuck for an hour on Disney World’s rundown “It’s a Small World” ride.Bloomberg via Getty Images

“There is no doubt that the parks, restaurants, and hotels that we enjoyed were in definite need of repair, there was a clear lack of general maintenance,” a guest wrote. “It was genuinely shocking. At
the prices they are charging, there is zero excuse for it, including COVID.”

Another guest called the park “gross,” noting there was “tons of trash everywhere.”

“I watched a person smoking cigarettes in the middle of Liberty Square. Grabbed a real quick dinner at Pecos Bill and it was grimy,” the guest added.

Another user zeroed in on their hotel stay. “The lack of room cleaning bothered me the most, I stayed at Pop Century for 12 nights and the ‘light cleaning’ every other day isn’t good enough.”

Many customers blamed Disney boss Chapek, who took the helm in 2020, right before the pandemic hit. During the height of the pandemic, Disney was forced to close its theme parks, causing a devastating blow to its bottom line. Eventually, theme parks reopened, and in order to make up for the losses, Chapek began raising admission, food and merchandise prices.

Disney also slimmed down portion sizes of popular food items, much to the dismay of customers, with some comparing the revamped meals to “disgusting slop” and “prison food.”
“Two words: Bob Chapek,” wrote one angry user, blaming the exec for changes at the parks.

Another chimed in: “This is what the new Disney is all about. Cutting costs and making more for the board of directors. I imagine, unless they put someone in charge that really cares about Disney and not the bottom line, it will stay like this.”
Disney CEO Bob Chapek has hiked prices at Disney’s theme parks while also slashing costs.Bloomberg via Getty Images

But not everyone was so critical of Disney World or its CEO.

“While it’s fun to blame Chapek for everything (I do this alot) I think we also forget that this issue has always been there, but due to the increased costs we now are paying for these vacations, we may just be more hyper aware of them,” one user noted. “While I think the magic is still there, I agree it’s a different feeling then my last trip…”

A former Disney employee added that “maintenance is stretched thin post Covid” and “supply chain issues are affecting parts shipments as well as merchandise, food, etc.”
Disney World did not comment.
 
This is kind of off topic, but I thought it distilled my gripe that DIS is skimping on park maintenance. That, long-term, is a very real threat to OUR assets, which must be maintained to hold value. The NY Post is a major American newspaper and widely read.

https://nypost.com/2022/09/14/disney-world-guests-gripe-of-broken-rides-filth-as-prices-soar/
‘Torture’: Disney World guests gripe of broken-down rides, filth as prices soar

By Alexandra Steigrad
September 14, 2022 1:59pm

Disney World guests gripe that the Orlando, Fla., resort has become plagued with broken-down rides and dirty facilities — even as the theme park continues to hike prices under CEO Bob Chapek.

Visitors are increasingly taking to social media to bash the Happiest Place on Earth, complaining that Chapek — who replaced the Mouse House’s longtime boss Bob Iger in 2020 — is only concerned with cutting costs and raising prices instead of reinvesting in the resort.

“Some rides are just a straight mess,” wrote one Reddit user in a chat room dubbed “Disney lacking.”

Last month, riders got stranded for over an hour on the Magic Kingdom’s “It’s a Small World” ride, with one customer calling the experience “torture” on social media. In July, video footage from Disney World revealed guests climbing out of a car on Splash Mountain because it started sinking. It was the park’s third sinking incident in two years.

Rides are also down a lot. It’s been lacking since they reopened and I don’t expect it to change anytime soon,” the user continued. “They know people will keep coming regardless.”

Guests called out specific attractions, including “Under the Sea: Journey of the Little Mermaid at Magic Kingdom,” as a sign of the state of the park, according to Disney blog Inside the Magic, which earlier reported on the complaints.

“Half of the in-queue hermit crab effects simply don’t work,” one customer complained. “In almost every scene something is broken — the moray eel’s eyes for example — one eye works, the other broken.”

“You could do this for every ride, something is broken, unkempt, or not functional,” the customer added.

Another user said they were “shocked at how many rides were all down at the exact same time” when they last visited Disney World’s Epcot.

Customers complained that Disney World’s “Little Mermaid” ride is rundown.AFP via Getty Images

One user complained of poor maintenance and “cast members” who weren’t in character at Disney World’s ultra-expensive new Star Wars: Galactic Starcruiser hotel, which costs around $6,000 for two
nights, with lodging, meals and entertainment included.

“Last year when I was here, I was blown away with CM’s [cast members], especially at Galaxy’s Edge, with maintaining the illusion. This year, a lot of the CM’s were not in character at all,” the user said. “The resorts have all had some small issues like the main door not closing when we leave, to A/C not working properly.”

Disney World’s unkempt appearance was also a hot topic, with users noting grass isn’t freshly cut, trash litters the grounds and buildings have “chipped paint.”

Riders got stuck for an hour on Disney World’s rundown “It’s a Small World” ride.Bloomberg via Getty Images

“There is no doubt that the parks, restaurants, and hotels that we enjoyed were in definite need of repair, there was a clear lack of general maintenance,” a guest wrote. “It was genuinely shocking. At
the prices they are charging, there is zero excuse for it, including COVID.”

Another guest called the park “gross,” noting there was “tons of trash everywhere.”

“I watched a person smoking cigarettes in the middle of Liberty Square. Grabbed a real quick dinner at Pecos Bill and it was grimy,” the guest added.

Another user zeroed in on their hotel stay. “The lack of room cleaning bothered me the most, I stayed at Pop Century for 12 nights and the ‘light cleaning’ every other day isn’t good enough.”

Many customers blamed Disney boss Chapek, who took the helm in 2020, right before the pandemic hit. During the height of the pandemic, Disney was forced to close its theme parks, causing a devastating blow to its bottom line. Eventually, theme parks reopened, and in order to make up for the losses, Chapek began raising admission, food and merchandise prices.

Disney also slimmed down portion sizes of popular food items, much to the dismay of customers, with some comparing the revamped meals to “disgusting slop” and “prison food.”
“Two words: Bob Chapek,” wrote one angry user, blaming the exec for changes at the parks.

Another chimed in: “This is what the new Disney is all about. Cutting costs and making more for the board of directors. I imagine, unless they put someone in charge that really cares about Disney and not the bottom line, it will stay like this.”
Disney CEO Bob Chapek has hiked prices at Disney’s theme parks while also slashing costs.Bloomberg via Getty Images

But not everyone was so critical of Disney World or its CEO.

“While it’s fun to blame Chapek for everything (I do this alot) I think we also forget that this issue has always been there, but due to the increased costs we now are paying for these vacations, we may just be more hyper aware of them,” one user noted. “While I think the magic is still there, I agree it’s a different feeling then my last trip…”

A former Disney employee added that “maintenance is stretched thin post Covid” and “supply chain issues are affecting parts shipments as well as merchandise, food, etc.”
Disney World did not comment.
I had posted that in the News and Rumors thread a few days ago. As I noted there, I think these complaints are dated. We were there for a week late Aug into Sep and we experienced no down rides and the parks were spotless other than the occasional rest room that was due for a cleaning. Also there were noticeably more CM's and all were helpful and friendly. Entertainment seemed to be getting closer to normal too. Attendance was also noticeably less so maybe a tick down in the craziness helped on the CM front. All in all, it felt to me like the Covid corner had been turned...I hope.
 
https://www.clickorlando.com/featur...hy-she-doesnt-care-if-you-call-her-a-traitor/

Our "favorite" Disney is at in again. She actually seems a bit more reasonable in this article (have not watched the interview yet) but she is still pushing the drumbeat for a living wage for entry level, no experience or education needed jobs. Is it crazy to think that if your looking to support yourself and/or your family, you must aspire to be more than a ride operator at Disney?
 
I had posted that in the News and Rumors thread a few days ago. As I noted there, I think these complaints are dated. We were there for a week late Aug into Sep and we experienced no down rides and the parks were spotless other than the occasional rest room that was due for a cleaning. Also there were noticeably more CM's and all were helpful and friendly. Entertainment seemed to be getting closer to normal too. Attendance was also noticeably less so maybe a tick down in the craziness helped on the CM front. All in all, it felt to me like the Covid corner had been turned...I hope.
That eases my fears. If there's any part of the company that is remotely "like it used to be when Walt was running things," it would be the parks, imo. I hope they can retain that feeling for future generations.
 
Per the article about maintenance, I was concerned myself last April when we took a short trip right before Easter. I had always seen a spotless Disney and April was the 1st time I saw trash in queue lines and visible on rides. The previous August, when things were slower, I saw Disney spotless and beautiful.

Not sure if it was a fluke or not, but we did notice trash and messy bathrooms, where we normally had not witnessed that.

No downtime on rides, however.
 
https://www.clickorlando.com/featur...hy-she-doesnt-care-if-you-call-her-a-traitor/

Our "favorite" Disney is at in again. She actually seems a bit more reasonable in this article (have not watched the interview yet) but she is still pushing the drumbeat for a living wage for entry level, no experience or education needed jobs. Is it crazy to think that if your looking to support yourself and/or your family, you must aspire to be more than a ride operator at Disney?
Correct. it is crazy to suggest full time employment should be inadequate to meet basic necessities.
 
https://www.clickorlando.com/featur...hy-she-doesnt-care-if-you-call-her-a-traitor/

Our "favorite" Disney is at in again. She actually seems a bit more reasonable in this article (have not watched the interview yet) but she is still pushing the drumbeat for a living wage for entry level, no experience or education needed jobs. Is it crazy to think that if your looking to support yourself and/or your family, you must aspire to be more than a ride operator at Disney?

So why should Disney be able to charge guests exorbitant prices for such inadequate help?

If a job is full time there's an insinuation you will be able to support your basic needs and 2 people would be able to support a family.

That's why it's called full time, because you dedicate that as your primary source of income and in do not have time to dedicate elsewhere.
 
Somewhat related to the above posts...I have heard and read many articles about people leaving the workforce which has led to these job openings and no one to hire, leading to some of the "good" unemployment stats. The Great Resignation, for example.

My question has always been how did people just quit and stop looking for work? Was it related to pandemic stimulus checks? If companies have issue hiring entry-level positions, you would think that demographic would be the ones most needing a steady paycheck. It's very confusing to me.
 
Somewhat related to the above posts...I have heard and read many articles about people leaving the workforce which has led to these job openings and no one to hire, leading to some of the "good" unemployment stats. The Great Resignation, for example.

My question has always been how did people just quit and stop looking for work? Was it related to pandemic stimulus checks? If companies have issue hiring entry-level positions, you would think that demographic would be the ones most needing a steady paycheck. It's very confusing to me.
Me too . Still don’t get it.
 












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